Its being widely reported that the navy is being reduced to 19 warships with another 6 in extended readiness. First mentioned in the Sun, but now reported in JDW, which gives the story more credibility.
You might be interested to read the report attached below. Alarmingly the writer considers that there is a £60 billion gap in the procurement budget between 2007 - 2011. His solution is to cancel the remaining expensive projects such as FRES, reduce the Navy to 14 hulls, cancel Typhoon Tranche 3, and completely cut all tanks.
In return he would purchase more transport helicopters and aircraft, go for conventional carriers, and convert the armoured regiments to light battalions. His argument is that because we routinely fight low and mediu intensity conflicts, this is what we should prepare for.
You might disagree with him, but it's an interesting paper.
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